Hilcorp drilling storage well in Kenai unit

Kay Cashman

Petroleum News

On Oct. 16, Alaska’s Division of Oil and Gas approved an amendment Hilcorp Alaska applied for Sept. 15 to the Kenai unit’s plan of operations. The project involves drilling a new Sterling pool 6 gas storage well from the existing KU 34-31 gravel pad and building associated infrastructure, including a well cellar and conductor, flowline, and electrical instrumentation.

The KU 34-31 pad is approximately 6 miles south of the city of Kenai on the Kenai Peninsula in southcentral Alaska.

The federally managed Kenai Gas Field is on private surface lands in the Cook Inlet basin. The new gas storage well and its related infrastructure will support continued natural gas storage for the field.

The new well will be drilled into state of Alaska oil and gas storage lease ADL 390821.

Drilling activities are expected to begin around Oct. 18, with tie-in and construction work completed by approximately Dec. 11, 2020.

All activities will be done on the pad and will tie into existing gas storage infrastructure.

The division, which is part of the Alaska Department of Natural Resources, provided a review and comment opportunity for the activities considered for authorization under its Oct. 16 decision. The following agencies were notified on Sept. 16 for comment on the plan: Alaska Department of Environmental Conservation; Alaska Department of Fish and Game; DNR’s Division of Mining, Land & Water, U.S. Army Corps of Engineers and Bureau of Land Management.

The comment deadline was 4:30 p.m. Alaska Time on Sept. 30. No comments were received.

The approval expires on Oct. 16, 2023, if work on the project has not started.

- KAY CASHMAN